Market Trends: Feb. 1998

One of the many issues contractors must deal with in today’s labor shortage is, how much should be invested in benefits for hourly employees?

One of the most discussed benefits across all industries has been the issue of health insurance, and a recent Lawn & Landscape wage and benefits survey revealed that the larger the company becomes, the more likely it is to offer their hourly employees health insurance benefits.

The most significant jump in the number of companies that provide health insurance occurs once a company has surpassed $500,000 in sales, leaping from 28 percent to 56.9 percent. Nearly 89 percent of companies generating more than $5 million in sales offer health insurance.

N.Y. Scholarship Fund Honors Phil Christian

MARBLE HILL, Ga. - While the green industry lost a dear friend with the death of Phil Christian last year, that does not mean the industry won’t continue to benefit from his commitment to bettering the professionalism with which contractors approached their jobs.

A fund has been established in Christian’s name that will result in the award of an annual scholarship to be presented to a college student pursuing a career in the green industry. The scholarship will be awarded each year at the Associated Landscape Contractors of America Student Career Days event.

Phil always left a little something with us each time he visited, recalled Michael Byrne, president, Byrne Brothers Landscaping Inc., Middleton, Mass. I am asking the industry now to give back a small amount for the wealth of information Phil gave to us.

Tax deductible donations can be sent to: The Gwinnett Foundation, attn. Phil Christian Memorial Scholarship, P.O. Box 148, Marble Hill, GA 30148. Questions about the fund can be directed to Joseph Estafen at 770/564-3451.

Fairmount Minerals Acquires Garick Corp.

CLEVELAND - Fairmount Minerals acquired The Garick Corp., for an undisclosed price, in early January. Cleveland-based Garick, a landscape and nursery supplier, earned $10 million in sales last year, Fairmount Minerals’ President Chuck Fowler said.

The acquistion has been in the works for the past six months and was an investment opportunity for the Chardon, Ohio-based Fairmount Minerals, which reportedly earned more than $100 million in sales last year, Fowler added. For the past nine years, Fairmount, a miner and manufacturer of sand and gravel, has owned 33 percent of the 17-year-old Garick.

It’s time to put the two horses together, Fowler said of the acquisition.

Gary Trinetti, president of Garick, said Fairmount has been involved as a corporate investor since 1988, sitting on the board of directors and providing strategy and direction to the company.

The timing was right. It was a good strategic fit, Trinetti said of the acquisition. As things progressed, it became a likely marriage.

Trinetti, who will remain as general manager and vice president of Garick, said the acquisition will mean a consolidation of the companies’ marketing efforts and provide one-stop-shopping where customers can purchase a wider variety of products from both companies.

The company will become more customer-focused and easier to do business with, Trinetti explained.

Fowler said Garick’s turf and landscape distribution business will become a division of Fairmount Minerals, which markets a number of similar products for golf courses.

The acquistion will also yield a stronger production and manufacturing base, Fowler remarked, and it means landscape contractors will be offered a much broader availability of product lines through Garick sources, he said.

More realistically, we expect to grow using Garick’s established distribution system to move our products through their organization, Fowler explained, adding that the Midwest is targeted for increased sales growth.

TOCA, Terra Announce Award

NEW PRAGUE, Minn. - Good deeds promoting the green industry will begin to receive increased public recognition with the Turf and Ornamental Communicators Association’s Environmental Communicator of the Year Award.

The program, sponsored by Terra Industries, Sioux City, Iowa, will be presented annually to an active green industry member for outstanding efforts in communicating the benefits of environmental stewardship to a particular audience within the turf and ornamental industry, according to TOCA.

Efforts to enlighten the public about green industry efforts to encourage environmental stewardship are a worthwhile and necessary endeavor today, noted Den Gardner, executive director of TOCA.

The award, which will debut at the 1999 TOCA annual meeting, is open to any mem-ber of the green industry that is nominated by a TOCA member. A $500 cash stipend will be presented to the winner.

LESCO, Riverdale Debut New Herbicide Combo

ROCKY RIVER, Ohio - LESCO Inc. announced the upcoming release of a new herbicide formulation containing 2,4-D, triclopyr and clopyralid. Called Momentum, it will contain a new formulation of 2,4-D, called 2,4-D TIPA. This formulation of 2,4-D, manufactured by Dow AgroSciences, Indianapolis, is marketed exclusively through Riverdale Chemical, Glenwood, Ill.

The main difference between this and other formulations of 2,4-D is the very low odor and light amber color, according to Greg Chambers, senior product manager for LESCO.

Momentum will be widely available to contractors beginning on March 1.

Brickman Passed To Third Generation

LANGHORNE, Pa. - The Brickman Group announced a financial plan that will put Scott Brickman in control of the $100 million contracting firm as president and chief executive officer.

The company entered into an agreement with financial investors in a deal that will allow Steve Brickman to leave the family-run company and pursue other interests. Dick Brickman, the second generation president, will become chairman of the board. A letter from the company stressed that there would be no change in corporate values or culture.

AgrEvo Reorganizes

MONTVALE, N.J. - AgrEvo North America has realigned its Professional Products Group to include the company’s Green Industry Group, a full line of turf and ornamental products used by golf course, lawn care, grounds maintenance and industrial vegetation professionals. New managers include Curtis Orrben, national sales manager for the Green Industry, and Jim Widman, national accounts manager for Professional Products Groups. George Raymond, Bill German, Dave Buzzelli, Dr. Mark Coeffelt, Cindy Mannes will continue in their positions.